Chapter 2
Descriptive Statistics:
Tabular and Graphical Displays
Nguyen Thi Lien
Faculty of Mathematical Economics, NEU
Email: Lientkt@[Link]
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 1
What are we going to learn?
• Summarizing Data For A Categorical Variable
• Summarizing Data For A Quantitative Variable
• Summarizing Data For Two Variables Using Tables
• Summarizing Data For Two Variables Using
Graphical Displays
• Data Visualization
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 2
Tables and Graphs for Categorical
Variables
Categorical Data
Tabulating Data Graphing Data
Frequency
Bar Chart Pie Chart Pareto
Distribution
Table Diagram
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 3
Tables and Graphs for Categorical
Variables
Categorical Data
Tabulating Graphing Data
Data
Frequency
Distribution Bar Chart Pie Chart Pareto
Diagram
Table
Hospital Number of Hospital Patients by Unit
Unit Patients 5000 Hospital Patients by Unit
4000
Cardiac Care 1,052 Cardiac Care
12%
Pareto Diagram: Cause of Manufacturing Defect
patients per year
60% 100%
Number of
3000 90%
Emergency 2,245 2000 Emergency
50%
40%
80%
70%
60%
Surgery
Intensive 53%
25%
30% 50%
340 1000 40%
Care
20%
30%
Intensive Care
0
20%
10%
4% 10%
Maternity 552 Maternity
Cardiac
0% 0%
Surgery
Intensive
Care
Maternity
6%
Emergency
Poor Alignment Paint Flaw Bad Weld Missing Part Cracked case Electrical Short
Care
Surgery 4,630
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 4
Tables and Graphs for Categorical
Variables
Categorical Data
Tabulating Data Graphing Data
Frequency
Bar Chart Pie Chart Pareto
Distribution
Table Diagram
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 5
Frequency & Relative
frequency
Frequency Relative
frequency
(proportion)
Frequency = The number
of observations
Type of Type of
Customer Frequency Customer Frequency
Promotional 70 Promotional 70%
Regular 30 Regular 30%
Grand Total 100 Grand Total 100%
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 6
Relative frequency
distribution
Relative frequency distribution of Method of Payment
Method of Relative Percentage
Payment Frequency Frequency Frequency
Proprietary Card 70 0.7 70%
MasterCard 14 0.14 14%
Visa 10 0.1 10%
Discover 4 0.04 4%
American Express 2 0.02 2%
Total 100 1 100%
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 7
Cumulative Relative frequency
distribution
Cumulative frequency distribution of Method of Payment
Method of Relative
Frequency Frequency Percentage Cumulative
Payment Frequency Frequency
Proprietary Card 70 0.7 70% 70%
MasterCard 14 0.14 14% 84%
Visa 10 0.1 10% 94%
Discover 4 0.04 4% 98%
American Express 2 0.02 2% 100%
Total 100 1 100% 100%
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 8
Exercise 2.1
Companies are often interested in knowing how customers learned
about their products. They often solicit this information on mail-in
warranty cards. The customers’ responses for a particular product
were gathered and the data are presented in the pie chart below.
What percentage of respondents learned about the product through
television or the Internet?
A. 12%
B. 39%
C. 51%
D. 100%
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 9
Cross tabulation
Number of Customers divided by gender and Method of
Payment
Gender
Method of Payment
Female Male Grand Total
American Express 2 0 2
Discover 3 1 4
MasterCard 13 1 14
Proprietary Card 67 3 70
Visa 8 2 10
Grand Total 93 7 100
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 10
Cross tabulation
Number of Customers divided by Percentage of Customers divided by
Gender and Method of Payment Gender and Method of Payment
Gender Gender
Method of Method of
Payment Payment
Female Male Total Female Male Total
American American
Express 2 0 2 Express 2% 0% 2%
Discover 3 1 4 Discover 3% 1% 4%
MasterCard 13 1 14 MasterCard 13% 1% 14%
Proprietary Proprietary
Card 67 3 70 Card 67% 3% 70%
Visa 8% 2% 10%
Visa 8 2 10
Grand Total 93% 7% 100%
Grand Total 93 7 100
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 11
Exercise 2.2
In a recent marketing experiment, consumers were given one of four
different types of dishwashing detergent and asked to use it for a
month. At the end of that time they were asked to rate the
detergent in terms of overall quality. What percentage of the
consumers rated their detergent fair or good?
Averag
A. 0.490 Poor Fair Good Total
e
B. 0.410 Brand A 5 17 11 10 43
Brand B 14 26 8 18 66
C. 0.175
Brand C 10 23 11 17 61
D. 0.236
Brand D 11 19 7 5 42
Total 40 85 37 50 212
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 12
Exercise 2.3
Of the customers who were given Brand A, what percentage
rated it poor?
A. 0.125
Poor Average Fair Good Total
B. 0.024
Brand A 5 17 11 10 43
C. 0.116 Brand B 14 26 8 18 66
D. 0.189 Brand C 10 23 11 17 61
Brand D 11 19 7 5 42
Total 40 85 37 50 212
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 13
Graphs to Describe Numerical
Variables
Numerical Data
Stem-and-Leaf
Frequency Distributions and
Display
Cumulative Distributions
Histogram Ogive
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 14
Graphs to Describe Numerical
Variables
Numerical Data
Frequency Distributions and Cumulative
Distributions Stem-and-Leaf
Display
Histogram Ogive
Histogram : Daily High Te m pe rature Ogive: Daily High Temperature
Stem
7
Leaves
6
6
100 6 136
5
5 4 80 7 2258
Frequency
4 3 60 8 346699
ulativePercentage
3 2 40
2 9 13368
1 20
0 0 10 3 5 6
0 0
Cum
11 4 7
0 10 20 30 40 50 60 10 20 30 40 50 60
12 2
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 15
Frequency Distribution Table
Age 20 – 29 30 – 39 40 – 49 50 – 59 60 – 69 Sum
Freq. 5 14 19 11 1 50
3.5
Each class grouping should has the same width 3
2.5
Frequency
2
1.5
Use at least 5 but no more than 15-20 intervals 1
0.5
0
4
8
12
16
20
24
28
32
36
40
44
48
52
56
60
More
Intervals never overlap Temperature
Round up the interval width to get desirable interval
12
10
8
Frequency
endpoints
6
4
2
0
Determine the width of each interval 0 30
Temperature
60 More
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 16
Frequency Distribution Table
A manufacturer of insulation randomly selects 20
winter days and records the daily high temperature
24, 35, 17, 21, 24, 37, 26, 46, 58, 30,
32, 13, 12, 38, 41, 43, 44, 27, 53, 27
Classify the data into classes with equal class width.
largest number smallest number
w interval width
number of desired intervals
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 17
Exercise 2.4
24, 35, 17, 21, 24, 37, 26, 46, 58, 30, 32, 13, 12, 38, 41, 43, 44, 27, 53,
27
Find the range = largest value - smallest value = 58 –12 = 46
Identify number of classes = 46/5 = 9.2 -> Round up to 10
Compute the interval width = 5
Choose the smallest value - nice round boundaries and try to
avoid empty classes Smallest value is 10
Count observations & assign to classes
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 18
Exercise 2.4
24, 35, 17, 21, 24, 37, 26, 46, 58, 30, 32, 13, 12, 38, 41, 43, 44, 27, 53, 27
Temperature Frequency Temperature Frequency
10 – 20 12 – 22
20 – 30 22 – 32
30 – 40 32 – 42
40 – 50 42 – 52
50 – 60 52 – 62
Total Total
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 19
Exercise 2.5
Consider the following frequency distributions generated by Excel.
What is the missing cumulative % value identified by asterisk?
A. 60.00%
Bin Frequency Cumulative %
B. 5.00%
12.8 1 5.00%
C. 100% 41.6 5 30.00%
70.4 6 60.00%
D. 90% 99.2 6 *
More 2 100.00%
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 20
Exercise 1.7: Tables and Graphs
Tables and Graphs for Variables in dataset:
ꙮ Type of Customer
ꙮ Method of Payment
Categorical
ꙮ Gender Variables
[Link]
ꙮ Marital Status
± Items
Numerical
± Net Sales Variables
± Age
04/11/2021 STATISTICS FOR BUSINESS AND ECONOMICS 21